The Wall Street Journal had first reported the move back in September, and the companies spent the last month or so finalizing details of the deal. From the press release:

Pursuant to the agreement, a subsidiary of Qualcomm will commence a tender offer to acquire all of the issued and outstanding common shares of NXP for $110.00 per share in cash, representing a total enterprise value of approximately $47 billion.

The companies expect the transaction, which will create a combined company with annual revenues totaling more than $30 billion, to be completed by the end of 2017. QCOM sees some immediate benefits from the move:

Qualcomm expects the transaction to be significantly accretive to non-GAAP EPS immediately upon close. Qualcomm expects to generate $500 million of annualized run-rate cost synergies within two years after the transaction closes. The transaction utilizes Qualcomm’s strong balance sheet and will be efficiently financed with offshore cash and new debt. The transaction structure allows tax efficient use of offshore cash flow and enables Qualcomm to reduce leverage rapidly.

QUALCOMM shares rose $1.80 (+2.64%) to $70.00 in premarket trading Thursday, while NXP shares were up $2.74 (+2.78%) to $101.40.